It’s been a busy week for US-headquartered Uber – and it’s only Wednesday.
The company named head of Expedia, Dara Khosrowshahi, as its new CEO, dropped a controversial feature which tracked customers after a journey, introduced insurance for some drivers, and paid a PHP190 million ($3.7 million) fine in the Philippines to lift a suspension.
Khosrowshahi, the unanimous choice of Uber’s board as CEO, accepted an offer to lead the company, BBC News reported. The executive joins Uber following a 12-year stint as CEO of online travel booking company Expedia and replaces Travis Kalanick, Uber’s co-founder and CEO, who resigned in June following shareholder pressure.
App amendment
To address complaints about how it handles customer data, Uber said yesterday it will remove a tracking feature from its app, Reuters reported. The change means users’ location data can only be shared when they are using the app.
The company also announced it will offer its 450,000 drivers in India free insurance covering hospitalisation, disability and death due to accident, Reuters said. Uber drivers in the country went on strike earlier in the year after the company reduced some of the benefits it offered to trim costs. The company faces strong competition from local rival Ola.
Meanwhile, in the Philippines, Uber overturned a one-month ban after paying a Land Transportation Franchising and Regulatory Board (LTFRB) fine. The company also agreed to pay affected drivers PHP299 million in compensation. LTFRB suspended Uber’s accreditation due to the company violating a directive to stop accepting new driver applications.
Adding to the company’s troubles, it announced it is cooperating with a US Department of Justice investigation looking into whether its managers bribed foreign officials.
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